Which of the Following Correctly Explains How Expansionary Monetary Policy

question 11

Multiple Choice

Which of the following correctly explains how expansionary monetary policy works?

• A)G↑ ⇒ C↑ ⇒ Y↑
• B)T↑ ⇒ C↑ ⇒ Y↑
• C)M↑ ⇒ i↓ ⇒ I↑ ⇒ Y↑
• D)M↑ ⇒ i↓ ⇒ I↓ ⇒ Y↑

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